Auction battles heat up

Nunawading

A successful buyer snapped up a 1200 sq m office/warehouse.Credit:CVA

An investor walked away from bidding during a heated auction, then came back to place a final bid and win against locals and an offshore buyer. The successful buyer snapped up a 1200 sq m office/warehouse with an extensive laboratory fitout at 7-11 Ceylon Street, CVA Property Consultants’ Ian Angelico, Jarrod Moran and Stan Dawidowski said. Eight bidders competed for the property which sold for $3.5 million on a sharp 4.70 per cent yield.

Echuca

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Property developers Peter Spargo and Bill Guest have sold a near-new service station at 161-189 Ogilvie Avenue for a benchmark $7.5 million. The deal, negotiated by Colliers International’s Daniel Wolman, Anthony Kirwan and Harry Bui in conjunction with Melcorp Commercial’s Paul Jones and Tim Spargo, was struck on a yield of 6.5 per cent. The service station on an exposed corner site of 5240 sq m was developed in 2016 and leased to United Petroleum and Hungry Jacks, both with 12-year net leases expiring in 2028 with options.

Springvale

Sak B3 Properties has snapped up a 628 sq m site at 39 Fairview Street for $1 million in a transaction handled by Colliers International’s Harry Larwill and Andrew Chrapot. “The final sales result represents a land value of $1250 per square metre, which is significantly over the market rate,” Mr Larwill said.

Carlton

Three office suites and six car spaces at the Carlton Clocktower development at 255 Drummond Street sold via an expression of interest campaign for $1.7 million. Suite 65, a 116 sq m partitioned office, was offered with vacant possession. Suite 69-70 covering 255 sq m with a balcony and CBD views was leased at rent of $61,867 per annum plus GST and outgoings. The six car spaces sold with vacant possession, Sutherland Farrelly’s Paul Sutherland said.

South Yarra

A large double-fronted block at 12 Darling Street has sold through Knight Frank’s Stephen Kelly and James Thorpe for $5.1 million. The block, with four two-bedroom apartments, fetched a land rate of $7635 per sq m and a yield of 2.2 per cent. It was leased at combined rent of $112,368 per annum.

West Melbourne

A developer outbid six rivals to pay $3,815,000 for a single level commercial building at 366-370 Spencer Street. The boutique development site attracted a strong field of prospective buyers at a lively Teska Carson auction. Owner-occupiers, developers and investors bid before the property was knocked down at $600,000 above reserve and at a healthy $11,000 a sq m, Matthew Feld and Michael Ludski said. It sold with a short term lease at an annual rental of $64,273.

Blackburn

Featuring a passing income of $99,900, a single strata medical office, Suite 2 at 195-197 Whitehorse Road, has sold for $1,878,000. The suite in a well-established medical centre sold on a 5.3 per cent yield, CBRE’s Sandro Peluso, Josh Twelftree and Jimmy Tat said. “This was the ideal superannuation investment,” Mr Peluso said.

Cranbourne West

A 1023 sq m vacant block at 46 Industrial Circuit has transacted for $388,000, Cameron’s Ivo Redmond and Angus Clark said. The price marked a $100,000 rise on what the vendor paid for it in April 2017, Mr Redmond said. “This result shows the increasing levels of confidence and demand that investors and occupiers alike are placing into the Cranbourne West industrial market.”

Moorabbin

The suburb’s newest industrial estate at 35 Levanswell Road has sold 60 per cent of its units, according to CVA’s John Nockles and Seamus Bolst, who transacted the properties with Just Commercial. Sales achieved a per sq m rate of $3500 to $3600, a record for the area, they said. Only three units remain.

LEASES

Dandenong

Chobani Yoghurt has leased a high clearance warehouse with 10 tonne crane capacity and three motorised roller doors at 20 Logis Boulevard. CVA’s Jarrod Moran and John Nockles negotiated the lease to Chobani at $176,024 per annum net as part of its expansion from its current Dandenong South facility on Hammond Road. The site also features a two-level open plan airconditioned office.

South Yarra

A florist with 30 years’ experience has leased a 51 sq m shop at 63 Toorak Road through Gross Waddell’s Tamara Gross. The florist will pay $960 per sq m gross for the space.

Robert Papaleo has been appointed to the role of director at Colliers International within the company’s Melbourne CBD residential team. Mr Papaleo was formerly strategic research director with Charter Keck Cramer.

GormanKelly has appointed Ann Magee as a senior property manager. Ms Magee will be based in the firm’s Hardware Street office which primarily services the CBD, city fringe and northern/ western suburbs.